RIYADH: Saudi Arabia and Egypt have set up a $10 billion joint fund to develop a megacity.
This was revealed by a Saudi government source on Monday following Crown Prince Mohammed bin Salman’s visit to Egypt.
The deal is aimed at developing the Egyptian side of NEOM.
“Saudi Arabia signed (an) investment agreement with Egypt to develop Egyptian lands in the south of Sinai to be part of the NEOM Project,” the government source told AFP.
“Saudi Arabia and Egypt have set up a joint fund of equal shares valued at more than $10 billion. The Egyptians´ share comprises a leased land for (the) long term.”
Prince Mohammed´s visit to Cairo is the first leg of his maiden foreign tour as heir to the Saudi throne.
He is also expected to visit France in the coming weeks.
The $500-billion NEOM, meaning “new future” in a combination of English and Arabic abbreviations, is planned to be a biotech and digital hub spread over 26,500 square kilometres (10,000 sq miles) in an area facing Jordan and Egypt.